The one hotel investment strategy with the greatest chance for success might surprise you
It’s that time of year again. Pundits are busy predicting whether hospitality transactions will rise or fall. No one knows for certain, though everyone seems to have an opinion.
I’m not a forecaster. I’m an operator with a bad habit of investing when I see a good situation. For the past several years, those situations have been scarce.
At a fundamental level, hospitality economics have been out of alignment: interest rates remain elevated, cap rates stubbornly low and RevPAR growth anemic. Those conditions made it difficult to justify new investment, let alone generate attractive risk-adjusted returns.
That said, I believe 2026 may mark an inflection point.
Over the past 18 months, rates have…
